GVM Metals Limited - Further Acquisition of Coal Interests in South Africa
Fillyaboots Articles

From: Nigel
ArtDate: 15th December 2006
Section: (FILLYABOOTS NEWS RELEASES)
Remote Name: 84.9.59.118
Date: 22/12/06
Time: 20:08

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15th December 2006

GVM Metals Limited - Further Acquisition of Coal Interests in South Africa

News Item - Conduit PR

GVM Metals Limited (“GVM” or the “Company”), the Australian mineral processing and coal mining company with assets in South Africa, is pleased to announce that it has executed a binding Sale of Shares and Claims Agreement to acquire 100% of the issued capital of Boabab Mining and Exploration (Proprietary) Limited (“BME”), a wholly owned subsidiary of Petmin Limited. BME owns 50% of the Boabab J.V. coal project, the remaining 50% is currently held by Motjoli Resources, which GVM has already agreed to acquire as announced on 22 August 2006.

Completion of both transactions will take GVM’s interest in the Boabab Coal Project to 100%.

The consideration payable to acquire BME is £2.5 million in cash, payable upon the fulfillment or waiver of the following suspensive conditions:

GVM obtaining shareholder approval at a general meeting of shareholders of GVM to be convened to be held during or before 30 March 2007;

obtaining the requisite approvals of the Exchange Control Department of the South African Reserve Bank as are applicable; and

obtaining the necessary approvals in terms of section 11 of the Mineral and Petroleum Resources Development (“MPRD”) Bill of South Africa by 30 April 2007.

Contacts:

Simon Farrell GVM Metals + 61 417 985 383

Olly Cairns Corporate Synergy +44 (0) 20 7448 4400

Leesa Peters / Jos Simson Conduit PR +44 (0) 20 7429 6600 /6606

Jos Simson Conduit PR Ltd 76 Cannon St EC4N 6AE Direct: +44 (0) 20 7429 6603 Office: +44 (0) 20 7429 6666 Fax: +44 (0) 20 7429 6699 Mob: +44 (0) 789 987 0450

www.conduitpr.com